Photo by: Bloomberg
PERTH (miningweekly.com) – The shareholders of ASX-listed Energia Minerals have cleared the way for the company to place about 240-million shares, valued at A$6-million, to clients of Euroz Securities.
The shares would be placed at 2.5c each.
The share placement formed part of an earlier A$8.15-million funding package for the development of the Gorno zinc project, in Italy. The funding package was arranged in August.
Energia shareholders have now approved the initial placement, with the shares to be issued on October 8.
Following the receipt of shareholder approval, Energia would also proceed with the second component of the funding package; a one-for-six nonrenounceable rights issue to raise a further A$2.15-million. The rights issue would also be priced at 2.5c a share, and would be underwritten by Euroz.
The funding package would enable the company to fast-track further development at Gorno over the next few years.
The project, which had historically produced about six-million tonnes of ore and had a fully developed underground mine infrastructure, had an exploration target of between six-million and ten-million tonnes, grading between 7% and 10% zinc and lead.